What will Article 50 mean for the UK Housing Market?

On the 29th of March 2017, Theresa May triggered Article 50 to begin the formal process of the UK leaving the European Union. After much speculation and worry from UK homeowners, future buyers and property experts, it is good news to hear that Article 50 appears to have left the housing market unscathed.

Although it is difficult to predict the long-term effect Brexit will have on the housing market, many experts suggest that the market will stabilise and changes will go largely unnoticed.

The property market relies heavily on confidence, which was made evident in the decrease of transactions during the Brexit voting period, when people were at their most unsure as to where the country was heading. However, the uncertainty of when the UK would be making an exit out of the EU has now been lifted as a result of Article 50 being activated.

London is likely to be hit the hardest by Brexit whereas other UK cities will be less affected. The London market has already experienced damage due to the increase in stamp duty and high prices that have risen in conjunction to the increase in earnings making purchasing a house in the capital an even bigger financial commitment.

The devaluation of the pound following the implementation of Brexit has opened an opportunity for overseas buyers. A surge has been seen in international investors especially from China, purchasing property in the UK and this is predicted to remain the case after Brexit and beyond.

Blenheim Park Estates will move forward with any changes Article 50 may bring and continue to work hard to provide our clients with a high quality service from start to finish.